Touchstone Investments’ Koerner On Distinctively Active Investing

Rich Koerner, Vice President and Senior ETF Specialist for Touchstone Investments, joined Keith Black, Managing Director of RIA Channel, to discuss how to access and benefit from truly active investments.

Touchstone Investments is a $25 billion asset manager owned by Western & Southern Financial Group, a 135-year-old mutual insurance company.  The firm offers a variety of mutual funds, ETFs, and SMAs, giving advisors and their clients the choice of different investment vehicles. 

While many asset managers claim to offer active management, their funds often don’t take meaningful active positions and offer low active share.  Funds with low active share have position weights relatively similar to the benchmark index, reducing the potential outperformance of the fund. 

Touchstone is distinctively active, offering 37 actively managed mutual funds and ETFs that seek to have a high active share and high conviction positions.  Touchstone educates advisors on how are enhanced when investments are truly actively managed.  Academic studies show that the top quintile of funds ranked by active share had the highest benchmark-adjusted return and that a declining portion of US active equity mutual funds have an active share exceeding 80%. 


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